Credit Suisse Group AG (NYSE:CS) announced its financial results for the year's second quarter on Thursday, amid a backdrop of structural change at the Swiss bank.
The bank posted a net income of $1.27 billion in the quarter, up 24% from the similar period a year ago. This is also a 38.2% increase over the $918.36 million net income analysts polled by Refinitiv had estimated, CNBC reported earlier.
Revenue increased to $6.8 billion, which compares with the $6.1 billion revenue posted in Q2 2019.
CET 1 ratio, a measure of the bank’s solvency, was at 12.5% in Q2 compared with 12.1% at the end of Q1.
“With an [Return on Tangible Equity] of 11.0% for the second quarter and 12.0% for the first six months 2020, we delivered on our pre-COVID-19 ambition to achieve an RoTE of approximately 10% for 2020," Credit Suisse CEO Thomas Gottstein said in a statement.
The bank also announced several structural changes such as the creation of a global investment bank, which merges the bank’s global markets and investment banking divisions, and a savings program of $438 million, due to come into force in 2022.
Price Action: Credit Suisse shares closed 1.04% higher at $10.65 on Wednesday.
Photo courtesy: Credit Suisse Group AG